Climate neutrality and sustainability in steel manufacturing

The steel industry has been an indispensable pillar in the development and progress of modern society. However, it has also been one of the largest emitters of greenhouse gases in history.

With the growing urgency of tackling global warming, the challenge is clear: to achieve climate neutrality and promote sustainability in steel manufacturing. The progress, challenges and opportunities ahead of us as we move towards a greener and more resilient future are detailed below.

Progress towards climate neutrality
Green steel”: challenges and barriers
A promising sustainable future
Conclusions on the sustainable steel industry

Progress towards climate neutrality in steel manufacturing

The steel industry has made significant progress in recent years in finding more sustainable practices and technologies to reduce its carbon footprint.

Direct reduction technology: technologies have been developed and implemented that allow the direct reduction of iron using natural gas or hydrogen instead of coke of coal. This innovation significantly reduces the CO2 emissions associated with steel production.
Recycling and the circular economy: steel recycling is becoming more common because it is fully recyclable. Recovering and reusing steel scraps in production substantially reduces CO2 emissions and the dependence on raw material extraction.
Renewable energy: the shift to renewable sources of energy to power industrial processes is also gaining momentum. Wind, solar and hydroelectric power are being integrated into the steel industry processes, reducing their carbon footprint.

Companies are increasingly concerned about their environmental impact and are looking for ways to reduce their carbon footprint. At thyssenkrupp, we offer personalised consultation on sustainability to help you on your way to climate neutrality. Moreover, we have also created a calculator to help you obtain a carbon footprint certificate and comply with European climate regulations.

“Green steel”: challenges and barriers

Despite the progress made in recent years, climate neutrality in steel manufacturing still faces serious challenges:

1 - Costs: implementing low-carbon technologies and switching to renewable energy sources initially incur higher costs, which may be a barrier for some companies.

2 - Scalability: the mass transition to more sustainable technologies may take more time, since it requires scaling up production, overcoming technical challenges and gaining acceptance of the industry.

3 - Infrastructure: adequate infrastructure for the production, storage and transport of hydrogen and other renewable energies is crucial for the success of steel production.

A promising sustainable future

Although the path to climate neutrality and sustainability in steel manufacturing is not an easy one, it offers important opportunities for the development of the sector:

1 - Innovation and competitiveness: companies at the forefront of the shift to more sustainable practices will be in a better position to meet future challenges and differentiate themselves in a market which is increasingly focused on sustainability.

2 - Cooperation and partnerships: cooperation between the industry, governments and environmental organisations can promote policy and regulation making which encourage the shift to more sustainable, low-carbon steel manufacturing.

3 - Contributing to the Paris Agreement: the steel industry can play a vital role in the global fight against climate change by drastically reducing its emissions and aligning its operations with the goals of the Paris Agreement.

Conclusions for a sustainable steel industry

Climate neutrality and sustainability in steel manufacturing are ethically and economically essential for the future of our society. Alongside the challenges to be addressed, there are promising developments and growing awareness of a more responsible approach in the steel industry. With a combination of innovation, cooperation and commitment, we can pave the way for a future where steel is an ally in the struggle against climate change and one of the pillars of global sustainability.